Businesses can start credit card surcharges on Oct. 6

Starting Thursday, Canadians could face additional fees with some credit card transactions.

The change stems from a class-action lawsuit that was settled in 2018, where Visa Inc. and MasterCard Inc. agreed to alter the no-surcharge rule for merchants. This opened the door to businesses passing on the cost of processing credit card payments onto customers.

According to Mastercard Inc., there is “an absolute maximum surcharge cap that is set at 2.4 per cent.” Visa Inc. has not confirmed on its website what the maximum surcharge cap will look like for card users.

The Canadian Federation of Independent Business (CFIB) said the additional charge won’t be offered in Quebec, due to consumer protection laws in that province.